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$\text{Assets} = \text{Liabilities} + \text{Equity}$; Practical Application: Balancing a company's balance sheet.

$\text{Net Income} = \text{Revenues} - \text{Expenses}$; Practical Application: Calculating the profit or loss over a period of time.

$\text{Cash Flow} = \text{Cash Inflows} - \text{Cash Outflows}$; Practical Application: Assessing the liquidity of a business.

$\text{Owner's Equity} = \text{Assets} - \text{Liabilities}$; Practical Application: Understanding the owner's claim on business assets.

$\text{Break-Even Point} = \frac{\text{Fixed Costs}}{(\text{Unit Selling Price} - \text{Variable Cost per Unit})}$; Practical Application: Determining the number of units that must be sold to cover costs.

$\text{Inventory Turnover Ratio} = \frac{\text{Cost of Goods Sold}}{\text{Average Inventory}}$; Practical Application: Assessing the effectiveness of inventory management.

$\text{ROI} = (\frac{\text{Net Profit}}{\text{Investment}}) \times 100$; Practical Application: Measuring the gain or loss generated on an investment.

$\text{Debt-to-Equity Ratio} = \frac{\text{Total Liabilities}}{\text{Shareholders' Equity}}$; Practical Application: Assessing a company's financial leverage.

$\text{Gross Profit Margin} = (\frac{\text{Gross Profit}}{\text{Revenue}}) \times 100$; Practical Application: Understanding profitability before operating expenses, interest, and taxes.

$\text{Current Ratio} = \frac{\text{Current Assets}}{\text{Current Liabilities}}$; Practical Application: Measuring a company's ability to pay off short-term obligations.

$\text{Quick Ratio} = (\frac{\text{Current Assets} - \text{Inventory}}{\text{Current Liabilities}})$; Practical Application: Measuring a company's ability to meet short-term obligations with its most liquid assets.

$\text{Accounts Receivable Turnover Ratio} = \frac{\text{Net Credit Sales}}{\text{Average Accounts Receivable}}$; Practical Application: Gauging the efficiency of a company's credit policies.

$\text{ROE} = \frac{\text{Net Income}}{\text{Shareholder's Equity}}$; Practical Application: Gauging how effectively management is using a company's assets to create profits.

$\text{Average Collection Period} = (365 \text{ Days}) / \text{Accounts Receivable Turnover Ratio}$; Practical Application: Estimating the average number of days it takes to collect receivables.